MTAR Technologies' initial public offer (IPO) saw strong subscription on the first day of share sale today. The IPO was subscribed 3.68 times on Wednesday with investors putting in bids for 2.67 crore equity shares against the offered size of 72.60 lakh equity shares.
Retail investors submitted bids 6.93 times against their reserved portion. The portion set aside for non-institutional investors was subscribed 1.02 times.
The IPO through which the Hyderabad-based firm plans to raise Rs 600 crore will close on March 5. Price band for the IPO has been fixed at Rs 574-575 per share. The company collected Rs 180 crore from 15 anchor investors on Tuesday.
It allocated 31.11 lakh shares at Rs 575 per share to anchor investors. The IPO comprises a fresh issue of 21,48,149 equity shares and an offer for sale of 82,24,270 equity shares by promoters and investors. Applications in the IPO can be made in a minimum lot size of 26 shares for which Rs 14,950 would have to be spent.
An investor can buy a maximum 13 lots of 338 shares amounting to Rs 1,94,350. JM Financial and IIFL Securities have been appointed as the book-running lead managers to the issue. Equity shares of MTAR Technologies will be listed on BSE and NSE.